- 2 October 2016
History Repeats Itself!
Japan, overnight on 21st September, kept its interest rate at a negative 0.1% and to stimulate the economy expanded its money supply to 100% of GDP. The US and Europe are at 20%. In comparison in Australia, our RBA has a high rate of +1.5% and is wondering why our Australian dollar is climbing and our tourism and income from exports falling.
At the same time that Japan is trying to expand its economy, in Australia, since 2009, small business and consumers have been in a credit squeeze as per the chart we showed last week. It is worthwhile showing it again.
No wonder Turnbull won by only one seat. At a similar time that there was a Federal election in a credit squeeze, which was 1961, again the Government held on with just one seat.
History repeats itself!
Regards,
Kevin Young
Related Posts
One in Four Aussies Are Reassessing Their Homes: What This Means for You in 2026
New Canstar research shows that many Australians are quietly reassessing their housing situation. According to the survey, more than one in four homeowners are considering their next move over the coming year. The figures vary across the states, with Queensland showing the highest proportion of people thinking about...
The Christmas Property Myths That Cost Investors Money
Every year the property market slows as people turn their attention to travel Christmas shopping and family time. With so much noise around the holidays it is easy for investors to absorb advice that sounds reasonable but has little basis in how the market actually works. Property Club continues to watch these...
Sydney Units Are Quietly Entering Their Next Growth Phase
Sydney is heading into another shift, but it is not happening in the prestige house market or the headline grabbing suburbs. The real movement is in well-located units sitting close to transport, education and major employment hubs. These are the properties renters line up for and the ones buyers turn to when house...